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Chapel Down PLC on Thursday said it swung to a loss following ‘a tougher year’ but expects ‘a return to full profitability’ going forward. The Tenterden, Kent-based winemaker reported a £1.4 million pretax loss in 2024, against a £2.3 million profit in 2023. ‘Growing conditions for 2024 started well...however the 2024 vintage faced more difficult weather conditions in September and October,’ Chapel Down explained. ‘Although our vineyards were not impacted as heavily as other regions in England, late season weather led to some pressure from mildew and consequently reduced yields, given our strict focus on quality.’ Chapel also said net sales revenue ‘net of retros’ totalled £16.4 million in 2024, falling from £17.2 million in 2023. Gross sales revenue fell to £19.8 million from £20.1 million. According to the company, the overall NSR was significantly impacted by a weaker showing in off-trade, including a reduction in stock held by retailers during H1. However, the company said it had a strong Q4 performance with NSR rising by 7%. eCommerce revenue rose by 22% in 2024, and their on-trade rose by 16% with the acquisition of 14,000 new customers in 2024 according to the group. Net debt increased to £9.2 million from £1.2 million. Chapel Down attributed this to 122 acres of new vines being planted, as well as to a £4.0 million increase in stock levels ‘from the exceptional 2023 harvest, which will underpin future growth’. Looking ahead, the company added: ‘The consumer environment remains uncertain, but Chapel Down is currently trading well ahead of prior year and expects strong sales growth for the year, with a return to full profitability.’ ‘Whilst 2024 was a tougher year for Chapel Down following the outstanding performance seen in the previous year, the business performed creditably, making continued strategic and operational progress,’ commented Chair Martin Glenn. ‘The prospects for Chapel Down as the leading English winemaker remain exciting.’ Chapel Down shares were trading flat at 38.00 pence in London on Thursday afternoon. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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